business today

Consumer confidence improves slightly

NEW YORK  U.S. consumer confidence in the economy failed to break out of its rut last week, according to an ABC News/Money Magazine poll released Wednesday.

The consumer comfort index rose two points to negative 18 in the week ended July 6, from negative 20 a week earlier. The poll has a margin of error of plus or minus three points.

This marks the seventh consecutive week that the index has been unable to break out of a narrow range between negative 17 and negative 21.

According to the survey, 30 percent of respondents expressed confidence in the economy, up from 27 percent the week before. Also, 56 percent of those polled said their own finances were in good standing, the same as the prior week.

In assessing the buying climate, 37 percent of respondents said it was good, unchanged from a week earlier.

The consumer comfort index was based on a random survey of 1,004 respondents nationwide ended July 6.

Tenet said the subpoena from the Securities and Exchange Commission indicates that the agency is conducting a formal investigation into the huge operator of for-profit hospitals.

The subpoena received Tuesday seeks documents since May 31, 1997, related to Medicare outlier payments, stop-loss payments and increases in gross charges, as well as the company's financial and other disclosures. Outlier payments are reimbursements to hospitals for extra care given to the sickest patients beyond fixed charges set by Medicare.

The company said it would hand over the requested documents and continue to cooperate with the investigation.

Troubles arose for Tenet in October when accusations surfaced that the company relied too heavily on supplemental Medicare payments, and that two doctors at a Tenet hospital in Redding performed hundreds of unnecessary heart surgeries.

Since then, Tenet has made a number of changes, including reducing its reliance on outlier payments, expensing stock options and adding more independent members to its board. Former CEO Jeffrey C. Barbakow stepped down from his position and the company launched a search for a new chief executive.